Raising of funds through private placement requires a company to pass through a high-level scrutiny by investors, which is a daunting task. Though companies are not required to go for higher level of regulatory compliances for private placement they still need to be vigilant about the methodology being adopted for raising funds.
Recent cases of adjudication and imposition of high level of penalties, thereof, by Registrar of Companies (NCT of Delhi & Haryana) (ROC) has again brought to the forefront the importance of being compliant with law and need for good corporate governance.
Private placement of securities – need for caution
Non-compliance with statutory provisions may derail the fund raising exercise
Key Contacts
Maneesha Garg
Partner & Head – Managed Services, Forensic, F&A, HR, Learning, Insight Led sales, Digital business operations and Sourcing
KPMG in India
Access our latest insights on Apple or Android devices
